Intel Corporation (NASDAQ:INTC) is a Santa Clara, California based American multinational semiconductor chip maker mostly known for making personal computers (PCs).
Intel in the News
The PC industry has been slowly shrinking due to consumer tendency towards tablets and smartphones. However, on Thursday, June 12, Intel Corporation (NASDAQ:INTC) raised its outlook for not only the second quarter, but the entire year. The company originally forecasted revenue of $13 billion, plus or minus $500 million; now they expect a second-quarter revenue of $13.7 billion, plus or minus $300 million. Intel cited stronger-than-expected demand of personal computers for businesses. Since then, shares have increased more than 4% in extended trading.
What Does Mean For Intel’s Stock?
On June 13, FBR Capital analyst Christopher Rolland reiterated an Outperform rating for Intel Corporation (NASDAQ:INTC) and raised his price target from $30 to $32. He noted, “We are increasingly confident that Intel can opportunistically extract value from the extra transistors afforded to it through the best silicon manufacturing operations in the world.” Rolland has a +13.3% average return on all stocks and an 82% success rate in making recommendations. He has an +18.1% average return on Intel.
On the other hand, on June 13 Goldman Sachs analyst James Covello maintained a SELL rating for Intel and modified his price target from $17 to $18. He explained, “…we had been surprised when Intel Corporation (NASDAQ:INTC) did not report upside to EPS earlier this year, as others in the PC supply chain experienced a pick-up in PC demand. As a result, Intel’s higher 2Q likely reflects part of the strength that peers saw in 4Q13 and 1Q14.” Covello has a +0.5% average return on all stocks and a 49% success rate in making recommendations. He has a -16.6% average return on Intel.
While analysts can’t seem to agree whether to BUY or SELL Intel Corporation (NASDAQ:INTC), there is obviously one analyst whose positive return on the company trumps the other. So the question arises: Who do you trust with your Intel stock?
Carly Forster writes about stock market news. She can be reached at Carly@tipranks.com